As a Workshop Owner it is important that you continue to look for new ways to drive revenue. There is only a certain amount of money you can make off a traditional servicing or repair job.
That brings us to the question. What new revenue streams are out there for Automotive Workshops?
Workshop Mate has put together 5 New Revenue Streams for Automotive Workshops in 2023.
Let’s get into it!
1. Part Sales
Part Sales have always been one of the best revenue streams for all Mechanical Workshops. Many Workshops make the mistake of selling parts to customers when they need it for a repair job, not realising there are more revenue raising opportunities available. One of the best ways to generate more revenue at your Automotive Repair Shop is to sell parts direct to customers.
You should look to sell additional parts direct to customers whether they need a repair or not. For example, you can wholesale tyres through your website directly to customers who want to buy tyres alone.
The benefit of selling parts either online or out of your shop is you can drive more revenue without needing to service or repair vehicles. You are basically generating more revenue without needing to do any more manual labor – It’s a win-win!
2. Vehicle Sales
One of the most popular new revenue streams that many Automotive Workshops are taking advantage of is Vehicle Selling. The Vehicle Sales market is exploding in Australia, there are many opportunities available to you to make money selling vehicles along with your repairs.
Many Workshops from time to time sell vehicles, whether it is a formal offering or just because you have acquired a car through a write off. Introducing a car sale offering to your shop will give you a whole new market to capture and potentially drive revenue from.
Before you consider selling cars it is important to note you will need to gain a Motor Vehicle Sellers Lincence.
3. Expand Your Services
By far the most popular way of generating more revenue is expanding. Whether it be expanding your service offering or expanding your location, expansion can and will create a brand-new stream for your Workshop to drive revenue from.
Does your Workshop only focus on Car Repairs? Think about expanding to Electric Vehicle servicing or Truck Servicing? Are you experiencing limitations or turning away bookings at your current workshop? Think about opening a new location.
Before you consider expansion, it is important that you familiarise yourself with the upfront and ongoing costings. Expansion will require significant investment to be successful.
4. Mobile Repairs
Another popular new revenue stream that many Workshops are starting to take advantage of is Mobile Repairs. Many customers have trouble getting their car to your Workshop, they may have work, other commitments etc. What better way to drive revenue than to offer a service that comes to them when they need it.
Your Workshop can introduce a service where a mechanic drives to customer houses to perform routine inspections, repairs and even servicing.
Like mentioned in the previous point, expanding your offering to include a mobile service will require initial investment. It is important that you understand the costs involved and put together a strategic plan on how you are going to operate and capture customers.
5. Recurring Bookings
As a Workshop owner, one of your biggest priorities should be to get your past customers to return time after time. To limit the risk of having your past customers go to a competitor you should look to automate recurring bookings for the same time in 12 months’ time.
The benefit of booking in and even charging a customer an initial fee for a service or repair in 12 months’ time will instantly drive revenue to your shop which can be used to escalate growth throughout the year.
Finding new revenue streams is the key to running a successful business. There is only a certain amount of revenue your Workshop can generate off a regular service or repair job. The 5 streams presented are proven methods of driving more revenue in the Auto Repair Industry in 2023.
We hope you enjoyed reading this article. To read more articles like this, please visit the Workshop Mate latest news page here.
DISCLAIMER – The content within this blog does not constitute professional advice and is intended to be general in nature. Please consult with all relevant parties prior to actioning any changes.
About Workshop Mate,
Workshop Mate by Jeal is an Australian, Web-based, Workshop Management Software that simplifies and automates the daily tasks of running a mechanical Workshop. Using innovative technologies, Workshop Mate removes common frustrations experienced at the Workshop – opening your doors for future growth.
Workshop Mate features include Job Management, Stock Management, Quotes, Invoicing, Integrated Accounting, Barcoding, Customer Bookings, Service History, Job Allocation and more – in the one central, easy-to-use application.
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